Seadrill Limited — Major Shareholding Notification 2023

Apr 4, 2023

Seadrill Limited – Disclosure of Large Shareholdings

Reference is made to the stock exchange announcement published by Seadrill Limited ("Seadrill") on 22 December 2022 announcing that Seadrill and Aquadrill LLC ("Aquadrill") had entered into a definitive merger agreement under which Seadrill would acquire Aquadrill in an all-stock transaction (the "Merger"). Reference is further made to the announcement on 3 April 2023 regarding the completion of the Merger.

On 3 April 2023, funds and entities advised or managed by Canyon Capital Advisors LLC ("CCA") received 4,850,956 shares in Seadrill in connection with the Merger, equal to approximately 6.07% of the total number of issued shares in Seadrill after completion of the Merger.

In addition, on 3 April 2023, funds and entities advised or managed by Canyon CLO Advisors LP ("CLO") received 213,778 shares in Seadrill in connection with the Merger, equal to approximately 0.27% of the total number of issued shares in Seadrill after completion of the Merger.

CLO is an entity controlled by CCA. Following the Merger, funds and entities controlled by CCA own, together with shares held prior to completion of the Merger, 5,092,356* shares in Seadrill, equivalent to approximately 6.38% of the total shares and votes of Seadrill, on a combined basis.

CCA (for and on behalf of funds and entities advised or managed by it or CLO) is the disclosing party on an aggregated level. The shares are held or beneficially owned by Canyon Balanced Master Fund, Ltd., Canyon Distressed Opportunity Master Fund III, L.P., Canyon Distressed TX (A) LLC, Canyon Distressed TX (B) LLC, The Canyon Value Realization Master Fund, L.P., Canyon-EDOF (Master) L.P., Canyon NZ-DOF Investing, L.P., EP Canyon Ltd., Canyon Value Realization Fund, L.P., and Canyon Capital Finance S.à r.l., as well as Canyon Capital CLO 2012-1 R, LTD., Canyon CLO 2016-1, Ltd., Canyon CLO 2016-2, Ltd., Canyon CLO 2017-1, Ltd., Canyon CLO 2018-1, Ltd., Canyon Capital CLO 2021-1, Ltd., and Canyon Capital CLO 2021-2, Ltd., who are advised or managed by CCA and CLO, respectively.

* 221,529 shares included in this figure relate to trades of Aquadrill units that (a) are entered into by funds and entities advised or managed by CCA and CLO, but which are not yet closed at the time of this filing and (b) have converted into Seadrill shares.

This disclosure is made pursuant to section 4-2 of the Norwegian Securities Trading Act.